General Insurance✓ Verified · outline & fact-checked · Sep 2026Difficulty 2/5
In the underwriting process, the agent acts as a field underwriter primarily by:
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
The agent functions as a field underwriter by collecting accurate, complete application information, observing the applicant directly, and screening out obviously uninsurable risks before the application reaches the home office. This preliminary selection helps the insurer price and accept risks properly. The agent's reports are the first layer of the underwriting process, not the final word.
Why the other options are wrong
- B) Final premium rates are set by the insurer's actuarial and underwriting departments, not the agent.
- C) Claims are evaluated and paid by the claims department, not by field underwriting agents.
- D) The insurer reviews the application and issues the policy; the agent does not bind coverage unilaterally.
Memory hook
The agent is the first filter at the front door; the underwriter is the final gate.